OI 1302
Louisiana State University
Office of Facility Services
Operating Instruction 1302
Revision: 3
Effective Date: December 1, 2010
Page 1 of 1
SUBJECT: INSURANCE CLAIMS
I. General
1. This clarifies policy and procedures for filing insurance claims in the event of a loss in
the areas of property damage, boiler and machinery or comprehensive general
liability
2. See Exhibit B attached.
II. Procedures
1. A Facility Services department may experience a loss in
a. Property Damage (Exhibit B, Section 1)
b. Boiler and Machinery (Exhibit B, Section 2)
c. Comprehensive General Liability (Exhibit B, Section 3)
2. If the loss or claim is serious in nature, the department will immediately notify the
Department of Public Safety at 578‐3297.
3. The instructions in Exhibit B are to be followed.
4. All claims are to be submitted in writing to:
Mr. Brian Nichols, Executive Director
Department of Public Safety
124 Public Safety Building
Baton Rouge, LA 70803
‐and submitted to the insurance claim contact person in Facility Services‐Accounting
Page 1 of 2
OI 1302
5. If the damaged item or price of equipment is essential to the operation of the
University, a repair/replacement may be immediately executed concurrent with
notification of Public Safety. A work order must be established to collect all costs
associated with the repair. The damaged item(s) must be saved for examination by
the insurance carrier inspector.
6. A copy of all claims filed must be sent to the Facility Services Accounting
department.
Page 2 of 2
OI 1302
EXHIBIT B
MANAGEMENT SAFETY POLICY
A major goal of public agencies and units is to provide safe and efficient services to residents of
the State of Louisiana. Each employee must help to accomplish this purpose through safe and
efficient work practices. Employee safety is vital to our success. We accept the moral and legal
responsibility of providing safe and healthy work conditions.
Our objective is to implement a comprehensive safety plan that meets all federal, state and
local safety codes, and establishes and maintains safe and healthy conditions in our office,
facilities and grounds.
This objective can be reached if all employees accept personal responsibility for their own
safety and well being. Safe work habits are an essential element of satisfactory job
performance.
Each employee is responsible for immediately reporting potentially unsafe conditions and work
practices, and taking effective temporary actions to minimize the risk to themselves and others.
Each individual is responsible for helping us reach our loss prevention goal of preventing
personal injury and loss of property because of accidents.
Each supervisor will be held accountable for the actions of his employees. They are responsible
for ensuring that both they and their employees follow all safety rules, policies and procedures.
It is our intention to provide good supervision, effective training and safe equipment on the job.
The success of our safety and loss prevention program depends upon the efforts of all
employees to minimize and eliminate all potential hazards.
REPORTING OF CLAIMS
The information contained herein provides procedures for reporting claims or notice of loss.
Procedures vary slightly depending on the type of coverage. If you are not sure what type of
insurance would cover the type of loss your agency has sustained, contact the Office of Public
Safety Claims Unit and you will be directed to the proper section.
Page 1 of 7
OI 1302
(1) Reporting of Property Damage Claims
1.1 The State of Louisiana provides insurance coverage for damage to state‐owned
property which includes damage to buildings and improvements, contents, inventory (including
mobile equipment and excluding licensed vehicles), heating and air conditioning systems, and
marine hulls 26 feet and under
1.2 All claims for damage to property owned by the State are to be reported to the Office of
Public Safety Claim Unit in writing. If a loss or claim is serious in nature it is to be reported by
telephone to the Office of Public Safety Claim Unit.
1.3 Claims are to be submitted in writing to the insurance contact person in Facility Services‐
Accounting Department.
1.4 Information required to be submitted when a claim is reported includes the following:
A. Name of insured, location of property or unit, and FACS number;
B. Date of loss;
C. Description of loss;
D. Location of item;
E. Size, model and serial number of item, if applicable;
F. Name of person reporting claim, listing job title and telephone number; and
G. Proof of ownership.
1.5 After a loss has occurred, all property which has been damaged is to be protected against
further damage and is to be made available for inspection by a claims adjuster assigned by the
Office of Public Safety.
1.6 Deductibles for property claims are as follows:
• Movable Building Structures $1,000
• All other building structures $1,000 per occurrence when loss is result of vandalism and/or
malicious mischief
• LSU Property, $1,000 per occurrence
All claims for theft or damage to state‐owned property must be accompanied by a copy of the
inventory listing or a copy of the original purchase order. Estimates for repairs must be
submitted prior to authorizing repairs for damaged items. If a police report has been filed,
please provide a detailed memorandum as to what happened. This is to include any witness
statements.
Page 2 of 7
OI 1302
The following information is also required:
• The type of goods/equipment damaged/stolen
• The number of each item damaged/stolen
• Model number
• Serial number
For items $1,000 and over, in addition to the above, also include the following:
• State Property ID tag
After a loss has occurred, all property which has been damaged must be protected against
further damage and must be available for inspection by a claims adjuster assigned by the Office
of Public Safety.
The Office of Risk Management will arrive at a settlement based on repair/replacement cost,
less deductible and depreciation. State law requires that claimant provide documented
evidence that the damage/stolen property has been repaired or replaced. Therefore, the
settlement amount will be set aside until proof of repair or replacement is received.
(2) Reporting of Boiler and Machinery Claims
2.1 The State of Louisiana provides insurance coverage for bodily injury and third party
property damage claims where such losses result from state‐owned boiler and machinery
equipment and for property damage to state‐owned boiler and machinery equipment
2.2 All claims for damage to boiler and machinery equipment are to be reported to the
insurance contact person in Facility Services Accounting in writing. Any claim involving bodily
injury is to be reported by telephone to the insurance contact person in Facility Services
Accounting Department.
2.3 Claims are to be submitted in writing to the insurance contact person in Facility Services
Accounting Department.
2.4 Information required to be submitted when a claim is reported to the Office of Public
Safety includes the following:
A. Name of insured, location of property or unit, and FACS number;
B. Date of loss;
C. Description of item, to include size, model, serial number, and tonnage or capacity;
D. Name, job title and telephone number of person reporting claim;
E. Name and phone number of person to be contacted by adjuster assigned.
Page 3 of 7
OI 1302
2.5 After a loss has occurred, the property which has been damaged is to be protected against
further damage and is to be made available for inspection by a claims adjuster.
2.6 All lawsuits, demands, notices, summons, or other legal documents pertaining to a claim
against a state agency are to be forwarded immediately to the Office of Public Safety for further
handling.
2.7 Any objects and/or products which may have caused, contributed to, or which are
suspected of causing an accident are to be retained and preserved as evidence.
(3) Reporting of Comprehensive General Liability Claims
3.1 The State of Louisiana provides Comprehensive General Liability coverage for bodily injury
and property damage claims resulting from operations for which the Agency could be held
legally liable.
3.2 All general liability claims are to be submitted in writing to the Office of Public Safety on an
Accord CGL form. Accord CGL forms can be obtained from the Office of Public Safety.
3.3 Claims are to be submitted in writing to the insurance contact person in Facility Services
Accounting.
3.4 If a loss is serious in nature, it is to be reported by telephone to the insurance contact
person in Facility Services Accounting for review to determine if coverage is applicable.
3.5 Claims which are made against a state agency by a third party are to be submitted to the
insurance contact person in Facility Services Accounting for review to determine if coverage is
applicable.
3.6 All lawsuits, demands, notices, summons or other legal documents pertaining to a claim
against a state agency are to be forwarded immediately to the Office of Public Safety and will
be forwarded to the State Office of Risk Management for further handling.
3.7 Any objects and/or products which may have caused, contributed to, or which are
suspected of causing an accident are to be retained and preserved as evidence.
3.8 The Comprehensive General Liability policy does not provide coverage for the students
themselves if they are personally injured. Students are not covered by the State’s
Workman’s Compensation Policy since they are employees or volunteers performing a service
for the State.
Page 4 of 7
OI 1302
If a student’s injury is due to the university, college, or school’s negligence, coverage will be
provided by the Comprehensive General Liability self‐insurance policy.
(4) Reporting of Glass Repair‐Replacement
4.1 The policy provided by the Louisiana Self‐Insured Program has a $1,000 deductible for
comprehensive coverage.
4.2 When a glass (windshield, door glass, etc) on a State vehicle needs to be replaced, the
department is responsible for the first $1,000.
4.3 If a department desires to file an insurance claim, they should complete the Vehicle
Glass Repair/ Replacement Loss Notice form (DA 2073) and submit it to the insurance contact
person in Facility Services Accounting and it will be forwarded to Risk Management.
4.4 Risk Management will then notify the glass vendor that the necessary information has been
provided and to proceed with the glass replacement.
4.5 The invoice will be forwarded to the department upon receipt and the $1,000 deductible
will need to be paid.
4.6 The department should provide a copy of the stamped paid invoice to the insurance contact
person in Facility Services Accounting and nit will be forwarded to the LSU Office of Risk
Management in order for the claim to be processed.
4.7 The insurance contact will contact LSU Office of Risk Management for the current
Automobile Glass Vendor. The vendor makes on‐site repairs to state owned vehicles.
4.8 As a preventive measure to glass replacement, the Louisiana Self‐Insured Program has a
contract with a vendor to repair nicks and/or cracks to glass (windshield, door, glass, etc) The
insurance contact person from accounting must contact the LSU Office of Risk Management to
set up the repairs. The vendor makes on‐site repairs to state owned vehicles.
(5) Reporting of Automobile Claims
5.1 All claims for liability or physical damage to state‐owned, lease or rental vehicles are to be
reported to the insurance contact person from Facility Services Accounting.
Page 5 of 7
If a loss involves property estimated at $5,000 or more, involves bodily injury, the loss should
be reported immediately by telephone.
A State of Louisiana Drive Safety Program Accident Form (DA 2041) must be submitted within
48 hours of an auto accident. The deductible for auto collision is $1,000 and $1,000 for
comprehensive.
5.2 Reimbursement of collision deductible on employees’ personally‐owned vehicles used on
state business states:
If an employee is involved in an accident in their personal vehicle while on State business, our
policy will pay the amount of any collision deductible required by their commercial insurance
company, subject to a maximum of $1,000 deductible per loss. In the event that the cost to
repair the damage to the vehicle is less than $1000, our policy is to pay up to the cost of
repair.
5.3 The automobile is only covered when the personally‐owned vehicle collides with another
object or overturns. It does not provide reimbursement for:
• Glass breakage
• Loss caused by hitting a bird or animal
• Loss caused by falling objects or missiles
5.4 It also does not provide reimbursement for losses caused by:
• Fire, lightening, or explosion
• Theft
• Windstorm, hail, or earthquake
• Flood
• Mischief or vandalism
• The sinking, burning, collision, or derailment of any conveyance transporting the auto
5.5 If the State employee is not at fault in the collision and the negligent party’s insurance pays
for the loss of the employee’s vehicle, then no reimbursement is allowed. It is not the
insurance carrier’s intent for the employee to collect the deductible reimbursement when the
other party’s insurer has paid the loss in full.
5.6 If someone with a non‐LSU vehicle is involved in an auto accident with a state vehicle and
wants to file a claim with our insurance carrier, we will need the following information:
1. Police report filed? (City, state, sheriff, LSUPD)
2. Name, address, phone number
3. Make, model, year of vehicle, and VIN number
4. A copy of the vehicle registration
5. A copy of the insurance verification
6. 2 estimates of damages
Page 6 of 7
OI 1302
5.7 Office of Risk Management carries the liability and physical damage (collision and
comprehensive) insurance on rental vehicles. The procedures are as follows:
1. The State employee should inspect the vehicle for any prior damage, such as
scratches, dents, windshield cracks or pecks, torn upholstery, etc (both inside and
outside of the vehicle.)
2. Any damages should be noted on rental agreement
3. This same process should be completed once the vehicle is returned
4. The same deductibles apply: $1,000 collision, $1,000 comprehensive
5.8 Office of Risk Management does not provide automobile liability and physical damage
coverage when the rental vehicle is used on official state business. The same deductibles apply:
$1,000 collision, $1,000 comprehensive.
5.9 Per State Travel Regulations, (P.P.M. 49), a State employee cannot be reimbursed expenses
for “any personal mileage or rental days on a vehicle rented for official State business...” The
State Office of Risk Management will NOT pay for liability or physical damage claims when the
vehicle is not used on official State business. When the rental vehicle is for personal use, Office
of Risk Management suggests that the driver purchases the liability and physical damage
coverage from the rental company.
Page 7 of 7